RadioShack upgraded on initiatives
Barclays expects the electronics retailer to benefit from partnerships with T-Mobile and Apple.
By Jeanine Poggi, TheStreet
Barclays raised its rating on the stock to “overweight,” saying the company should benefit from the addition of T-Mobile services and Apple (AAPL) iPhones, and its new branding campaign.
The T-Mobile deal is expected to add at least $450 million in sales and 40 cents to earnings next year, Barclays wrote in a note. The brokerage firm raised its 2010 earnings forecast to $1.97 a share.
Last month, RadioShack started offering the iPhone 3G and iPhone 3GS in New York and Dallas, and plans bring them to stores nationwide in 2010.
Barclays said it didn’t include the contribution from Target (TGT) kiosks, share buybacks and other improvements, which could add another 40 cents to earnings. RadioShack recently began selling mobile phones in kiosks at about 100 Target stores in Minnesota, California, Georgia, Illinois, New Jersey, Texas and Washington.
MORE ON MSN MONEY
Copyright © 2013 Microsoft. All rights reserved.
Quotes are real-time for NASDAQ, NYSE and AMEX. See delay times for other exchanges.
Fundamental company data and historical chart data provided by Thomson Reuters (click for restrictions). Real-time quotes provided by BATS Exchange. Real-time index quotes and delayed quotes supplied by Interactive Data Real-Time Services. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by SIX Financial Information.
Try as the bears might, they couldn't break U.S. stocks. But investors still face frothy prices and considerable headwinds.
VIDEO ON MSN MONEY
Top Stocks provides analysis about the most noteworthy stocks in the market each day, combining some of the best content from around the MSN Money site and the rest of the Web.
Contributors include professional investors and journalists affiliated with MSN Money.
Follow us on Twitter @topstocksmsn.